Step 1: Magnetic moment of a coil.
The magnetic moment \( M \) of a circular coil is given by:
\[
M = n \cdot I \cdot A
\]
where \( n \) is the number of turns, \( I \) is the current, and \( A \) is the area of the coil. The area of the coil is \( A = \pi r^2 \), where \( r \) is the radius of the coil.
Step 2: Proportionality of magnetic moment.
Thus, the magnetic moment is proportional to \( r^2 \), corresponding to option (C).
Step 3: Conclusion.
The magnetic moment is proportional to \( r^2 \), corresponding to option (C).